Talk of The Villages Florida - Rentals, Entertainment & More
Talk of The Villages Florida - Rentals, Entertainment & More
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#1
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The Villages Home Prices during 2008 Great Recession/ Views on Current Downside Risk
Hi All,
Hoping to get some feedback from those who have been around TV since the 2008/09 Great Recession, I have been getting "pro" feedback that the 08-09 housing crash nationally, and in Florida specifically, essentially had zero impact on the Villages market, that TV was a rare exception and was essentially unscathed, can that possibly be true? The same source also indicates that I am practically assured that any new home that I buy now will be worth ~$100k more in a year once the neighborhood/area is completed and more mature. As great as that would be, I am not drinking that kool-aid (yet, lol!), especially as it seems the market has been softening a bit over the last year (can it be?). Given your experience, and how far the market has come, would you even be concerned about downside risk? I am buying as a snowbird owner/resident but also hope to recoup expenses by hosting for the remainder of the year via short term rentals through a property management company. I'd rather not buy at a market peak, I would just rent for now if I thought that was the case. |
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#2
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We was looking in the villages in 2008 and signed our contract February of 2009. We closed May 1st 2009. We was looking in Tennessee and North Carolina also. The Villages slowed down on sales, but the prices was holding and only being discounted about 5% from the asking price. It was scary at the time as this was the only place that houses was not dropping in price and we wanted to buy. That was unreal compared to the market in Georgia. I seen houses auctioned off for $30 Thousand dollars. Those same house sold 7 years later for $130 Thousand, Now those houses are selling for $300 thousand. Facts. The only advantage in early 2009 in the villages was we got to put a small deposit down to hold a lot on the pond for 24 hours to make sure we wanted it. We was told we had a year to build. Then we was told we could get 5% off on the house and options we wanted also if we signed a contract to build. We did and the house was built in 50 days. My neighbor said when he bought he had two hours to decide if he wanted the house he was shown and if not the next in line got the same offer. I understand your reservations, But our Only regret is not coming sooner.
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New Peeps Covington, Ga. Village of Duval |
#3
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Look at the sales data from the Villages to make you guess as to what the future may hold. We purchased a new house in Dec. of 2014.
Year sold average price 2001 2,074 156,000 2002 2,260 163,000 2003 3,329 168,000 2004 3,955 204,000 2005 4,263 232,000 2006 3,935 257,000 2007 2,403 251,000 2008 2,236 231,000 2009 2,115 229,000 2010 2,208 231,000 2011 2,307 241,000 2012 2,850 244,000 2013 3,419 271,000 2014 2,601 304,000 2015 2,294 304,000 2016 1,966 2017 2,231 2018 2,134 281,000 2019 2,429 307,000 2020 2,452 2021 4,004 2022 3,923 2023 3,029 410,000 |
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House prices decreased by 11 % House sales decreased by a whopping 46 %. |
#6
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Thanks for these stats Rusty, very helpful and I agree, those numbers showed a lot of resilience considering what most other areas of the state and county underwent! Seems like most people just held their ground and I would imagine new construction slowed down a lot.
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#7
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If your goal is to make money, then don't ever EVER rent, anything, ever. It's a guaranteed loss. There is no guarantee that your purchase here will increase in value at all, let alone by $100,000 in a year. It also depends on what house you're looking at. A home that cost you $980,000 to buy, might certainly go up in value by $100k in a year. A home that cost you $200,000 to buy, will probably not go up in value that much in a year, or even in two years. Properties in the Villages SEEM to have a better chance of stability in value. And don't forget - if the property you buy this year goes up $100k, and you decide to sell it to make that extra $100k - well you'll be out of a home, and need to buy another one. Problem is - the value of the other one will have gone up as well. So you might end up losing in the end. Real estate futures is not a good investment if you're looking at a retirement home that you actually intend to live in, even part of the year. |
#8
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#9
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Our first stay was 2007, houses were selling in hours, and we chose to wait out the craziness. We had family here so spent good amount of time, finally bought in 2010, no discounts, second house 2012, no discounts, 2014 preowned.
Owning three homes here at the same time, we had zero problems finding long term tenants. Profits from selling far and above any other region. One just needs to decide can you sit on any house, until market swings back to the crazy 2007, and 2020 prices
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Do not worry about things you can not change |
#10
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#11
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Op, nothing will tell what will happen in the future. How could we predict the Covid problem? Or what caused the financial failures in 2008? Who knows what’s next. My suggestion, if you want to be a landlord go ahead and buy. If you don’t, rent for two months every year.
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I wish I knew what I don’t know. |
#12
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We sold our home south of 44 for a sizeable profit. We are now renting. Our social security checks cover ALL of our expenses. As an added bonus, we have no maintenance. Our lives are carefree. Our money is secure and earning high interest. We are waiting to see what happens with real estate in the Villages before we buy. Right now, new home prices are falling and preowned homes are sitting. IMO not a good time to buy a home. Last edited by Randall55; 02-26-2024 at 04:58 AM. |
#14
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Where and when
It is all about location, model and the date of purchase. A majority of homes are interior “kissing lanais “. If those are in a new area I wouldn’t be looking for any large return any time in the foreseeable future because of the large inventory of new homes. If you buy a view lot and custom home, you have a much better chance of low loss or nice gains in funds.
If you are buying, I would use Realtor.com to get quick numbers on purchase prices, years and overall history. It is a buyers market today. You can and should demand inspections etc to make sure you get what you pay for. Square footage numbers and location tell a lot about what you should pay.
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Everywhere “Everyone may not be good, but there's always something good in everyone. Never judge anyone shortly because every saint has a past and every sinner has a future.” - Oscar Wilde Last edited by Normal; 02-26-2024 at 08:58 AM. |
#15
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Even though the TV is a good bet, there is no sure thing, I owned a number of rentals in N.Y. over the years and the market can turn for a number of reasons. There is a somewhat funny movie titled "The Big Short". I would watch it if I was you.
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